Calculate job contribution margin before accepting a discount request.
A customer asks for $40 off a $260 dryer repair. The technician thinks the discount is small because the ticket still looks large. Contribution margin = job revenue - job-specific variable costs. The common trap is judging the discount as a percentage of revenue. The business feels a 15% revenue discount, but contribution may fall by nearly half. Before Approve $40 off because the customer is hesitant and the ticket still exceeds $200. After Approve or reject the discount based on the contribution left after parts, labor, fuel, card fees, and warranty reserve. Step 1 Start with revenue: $260. Revenue…
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